New York Real Property Actions & Proceedings Section 745 - Trial.

745. Trial. 1. Where triable issues of fact are raised, they shall
be tried by the court unless, at the time the petition is noticed to be
heard, a party demands a trial by jury, in which case trial shall be by
jury. At the time when issue is joined the court, in its discretion at
the request of either party and upon proof to its satisfaction by
affidavit or orally that an adjournment is necessary to enable the
applicant to procure his necessary witnesses, or by consent of all the
parties who appear, may adjourn the trial of the issue, but not more
than ten days, except by consent of all parties.

2. In the city of New York:

(a) In a summary proceeding upon the second of two adjournments at the
request of the respondent, or, upon the thirtieth day after the first
appearance of the parties in court less any days that the proceeding has
been adjourned upon the request of the petitioner, whichever occurs
sooner, the court shall direct that the respondent, upon an application
by the petitioner, deposit with the court within five days sums of rent
or use and occupancy accrued from the date the petition and notice of
petition are served upon the respondent, and all sums as they become due
for rent and use and occupancy, which may be established without the use
of expert testimony, unless the respondent can establish, at an
immediate hearing, to the satisfaction of the court that respondent has
properly interposed one of the following defenses or established the
following grounds:

(i) the petitioner is not a proper party to the proceeding pursuant to
section seven hundred twenty-one of this article; or

(ii) (A) actual eviction, or (B) actual partial eviction, or (C)
constructive eviction; and respondent has quit the premises; or

(iii) a defense pursuant to section one hundred forty-three-b of the
social services law; or

(iv) the court lacks jurisdiction.

When the rental unit that is the subject of the petition is located in
a building containing twelve or fewer units, the court shall inquire of
the respondent as to whether there is any undisputed amount of the rent
or use and occupancy due to the petitioner. Any such undisputed amount
shall be paid directly to the petitioner, and any disputed amount shall
be deposited to the court by the respondent as provided in this
subdivision.

Two adjournments shall include an adjournment requested by a
respondent unrepresented by counsel for the purpose of securing counsel
made on a return date of the proceeding. Such rent or use and occupancy
sums shall be deposited with the clerk of the court or paid to such
other person or entity, including the petitioner or an agent designated
by the division of housing and community renewal, as the court shall
direct or shall be expended for such emergency repairs as the court
shall approve.

(b) (i) The court shall not require the respondent to deposit the
portion of rent or use and occupancy, if any, which is payable by direct
government housing subsidy, any currently effective senior citizen
increase exemption authorized pursuant to sections four hundred
sixty-seven-b and four hundred sixty-seven-c of the real property tax
law, direct payment of rent or a two-party check issued by a social
services district or the office of temporary and disability assistance,
or rental assistance that is payable pursuant to court orders issued in
litigation commenced in nineteen hundred eighty-seven in a proceeding in
which the amount of shelter allowance is at issue on behalf of
recipients of family assistance. In the event the respondent or other
adult member of the respondent's household receives public assistance
pursuant to title three or title ten of article five of the social
services law, the respondent shall, when directed by the court to
deposit rent and use or occupancy, only be required to deposit with the
court the amount of the shelter allowance portion of the public
assistance grant issued by the office of temporary and disability
assistance or a social services district. In the event the respondent
receives supplemental security income pursuant to title sixteen of the
federal social security act and title six of article five of the social
services law, the respondent shall only be required to deposit one-third
of the monthly supplemental security income payment.

(ii) Any sum required to be deposited with the court pursuant to this
subdivision shall be offset by payment, if any, made by the respondent
pursuant to section two hundred thirty-five-a of the real property law
or section three hundred two-c of the multiple dwelling law.

(c) (i) If the respondent shall fail to comply with the court's
directions with respect to direct payment to the petitioner or making a
deposit as directed by the court of the full amount of the rent or use
and occupancy required to be deposited, the court upon an application by
the petitioner shall dismiss without prejudice the defenses and
counterclaims interposed by the respondent and grant judgment for
petitioner unless respondent has interposed the defense of payment and
shows that the amount required to be deposited has previously been paid
to the petitioner.

(ii) In the event that the respondent makes a deposit required by this
subdivision but fails to deposit with the court or pay, as the case may
be, upon the due date, all rent or use and occupancy which may become
due up to the time of the entry of judgment, the court upon an
application of the petitioner shall order an immediate trial of the
issues raised in the respondent's answer. An "immediate trial" shall
mean that no further adjournments of the proceeding without petitioner
consent shall be granted, the case shall be assigned by the
administrative judge to a trial ready part and such trial shall commence
and continue day to day until completed. There shall be no stay granted
of such trial without an order to respondent to pay rent or use and
occupancy due pursuant to this subdivision and rent or use and occupancy
as it becomes due.

(iii) The court shall not extend any time provided for such deposit
under this subdivision without the consent of the petitioner.

(iv) Upon the entry of the final judgment in the proceeding such
deposits shall be credited against any judgment amount awarded and,
without further order of the court, be paid in accordance with the
judgment.

(v) The provisions of this paragraph requiring the deposit of rent or
use and occupancy as it becomes due shall not be waived by the court.

(d) The court may dismiss any summary proceeding without prejudice and
with costs to the respondent by reason of excessive adjournments
requested by the petitioner.

(e) The provisions of this subdivision shall not be construed as to
deprive a respondent of a trial of any defenses or counterclaims in a
separate action if such defenses or counterclaims are dismissed without
prejudice.